1. Click to add title Dividends: Growth, Income and Diversification June 2010

2. - 2 - Client’s Name Dividend Stocks Growth, Income and Diversification Dividend stocks have historically:  Provided the majority of capital growth on the S&P/TSX Composite Index over the past 20 years  Outperformed as an asset class on the S&P 500 Composite Index over the past 15 years  Outperformed the overall market during past severe bear market economic recoveries* * Based on nine U.S market declines of 20% or greater since 1928

3. - 3 - Client’s Name Dividends vs. S&P/TSX Composite Index Dividend paying stocks outperform the market Dividend growers and payers have provided income and the majority of growth on Canadian markets Canadian Annualized Portfolio Performance by Dividend Attribute

4. - 4 - Client’s Name Dividends vs. S&P 500 Composite Index Dividend paying stocks outperform the market U.S. Annualized Portfolio Performance by Dividend Attribute

5. - 5 - Client’s Name Dividends vs. The Recovery Dividend stocks outperform during market recoveries Average Returns after a Bear Market Bottom* S&P 500 Composite Top Decile U.S. Dividend Stocks Year 1 Return45.6%55.4% Year 2 Return15.4%16.2% Year 3 Return3.1%10.2% Total 3 Yr Return73.2% 99.1% 2009 Post Bear Recovery Returns, Year End May 31,2010 S&P 500 Composite21.0% U.S. Dividend Growers*27.8% S&P/TSX Composite16.7% Canadian Dividend Growers*22.2% U.S. & Canadian Historical Average Market Recoveries After a bear market bottom, dividend stocks have continued to outperform the S&P 500 Composite. The year ended May 31, 2010 followed that trend on both the S&P 500 and the S&P/TSX Composites. Source: Standard & Poors *Based on nine U.S. market declines of 20% or greater since 1928 Source: Standard & Poors *U.S./Canadian Dividend Growers as measured by S&P500/S&PTSX Dividend Aristocrats Indices.

6. - 6 - Client’s Name Dividends have historically provided:  Over 30% of returns on the S&P/TSX Composite Total Return Index  Income growth exceeding the rate of inflation and improved purchasing power  Significant tax advantages over interest income Dividends Growth, Income and Diversification

7. - 7 - Client’s Name Dividends vs. S&P/TSX Composite Index Over 30% of total market returns Returns as a percent of total 5 Year10 Year20 Year Dividend Returns 36.4%39.9%30.8% Capital Gains 63.6%60.1%69.2% Dividends have comprised between 30% and 40% of total returns over the last 20 years. Source: RBC AM, data as of Dec. 31, 2009 Note: An investment cannot be made directly into an index. Chart and table do not reflect transaction costs, investment management fees or taxes which would lower returns. Past performance is not a guarantee of future results

8. - 8 - Client’s Name Dividends vs. Inflation Prices rise, dividend yields rise faster Annualized Growth Rate 1990-2009 S&P/TSX Composite Dividend5.07% Basket of Goods (CPI prices)1.90% Disclosure: An investment cannot be made directly into an index. Graph and chart do not reflect transaction costs, investment management fee or taxes. If such costs and fees were reflected, returns would be lower. Past performance is not a guarantee of future results.

9. - 9 - Client’s Name Dividends vs. Taxes Taxed lower, dividend yields are hard to beat Canadian Top Marginal Tax Rates Dividend Yield vs. Bond Yield After Tax Equivalents DividendBond Yield3.00%4.11% Tax Rate 1 26.57%46.41% Taxes0.80%1.91% After-Tax Yield2.20% 1. Assumes top marginal tax rate of: 46.41%, Ontario, 2010 Source: taxtips.ca 2010 Combined Top Federal and Provincial Marginal Tax Rates Province Interest Income Dividend Income Alberta 39.00%15.88% British Columbia 43.70%21.45% Manitoba 46.40%25.09% New Brunswick 43.30%19.46% Newfoundland & Labrador 44.50%24.37% Northwest Territories 43.05%19.81% Nova Scotia 48.25%29.79% Nunavut 40.50%23.64% Ontario 46.41%26.57% Prince Edward Island 47.37%25.96% Quebec 48.22%30.68% Saskatchewan 44.00%21.64% Yukon 42.40%18.80% When accounting for taxes, dividends are taxed far lower than interest income in Canada. In the example above, a 37% higher yield is required on a bond so that equivalent after- tax dollars end up in investor hands.

10. - 10 - Client’s Name RBC Funds ® have provided:  Strong performance vs. their peer group  Diversification across most major Canadian equity sectors  Lower risk and volatility profiles versus the S&P/TSX Composite Index RBC Asset Management Solutions Funds that outperform

11. - 11 - Client’s Name RBC Asset Management Solutions Funds that outperform Fund Performance Return Globe Canadian Dividend & Income Peer Average RBC Canadian Dividend Fund RBC Canadian Equity Income Fund 1 Year15.5%15.6%33.9% 3 Year-4.3%-3.0%9.7% 5 Year3.0%5.7%n/a 10 Year6.3%8.8%n/a 15 Year8.8%11.4%n/a Since Inceptionn/a11.4% (Jan,1993)9.7% (Aug, 2006) Source: Globeinvestor, data as of May 31, 2010. Unless otherwise noted, all performance data shown is for the Series A units of the fund. With an excellent track record versus their peers, these funds have provided steady income and solid growth.

12. - 12 - Client’s Name RBC Asset Management Solutions Dividend funds are diversified Equity Sector Exposure With exposure to almost every major equity sector on the S&P/TSX Composite, these funds package many of the elements needed for a portfolio’s Canadian equity allocation. Equity Sector Exposure (%) S&P/TSX Composite RBC Canadian Dividend Fund RBC Canadian Equity Income Fund Energy26.523.6 27.9 Materials20.15.1 10.1 Industrials5.6 3.3 Utilities1.62.9 5.1 Discretionary4.5 3.3 Staples2.52.3 11.3 Healthcare0.50.3 4.2 Financials31.149.2 25.1 Technology3.40 2 Telecom4.34.8 0 Other01.7 0.9 Source: RBC AM, data as of April 30, 2010

13. - 13 - Client’s Name RBC Asset Management Solutions Lower risk and lower volatility Summary of Risk Metrics Risk (Standard Deviation): Return is expected be in the following range: its average (in this case 3yr average) plus/minus its risk, 67% of the time. Beta: Benchmark volatility is set at 1.00, lower/higher is expected to be less/more volatile. Example - 0.8 = 20% less volatile, 1.5 = 50% more volatile Upside/Downside Capture: Benchmark (market) is set at 100%, a fund is expected to follow the market up/down by the % of its capture. Example: Downside capture = 70% If the market is down 1%, the fund expectation is down 0.7% Lower risk and beta can both provide downside protection in volatile markets. FundBenchmark Risk Measure RBC Canadian Dividend Fund RBC Canadian Equity Income Fund S&P/TSX Composite Upside Capture (3 yr)80%111%100% Downside Capture (3 yr)83%67%100% Beta (3 yr)0.860.911 Risk (3 yr)16.218.520.2 Source: RBC AM, data as of May 31, 2010

14. - 14 - Client’s Name  Concentrated group of stocks with proven history  Source of regular dividend income that benefits from preferential tax treatment  Among the lowest MER in its category at 1.7% versus the median of 2.07% (Morningstar: Canadian dividend and equity income)  Managed with a conservative approach  Emphasis on companies whose shares are attractively valued and have an above-average dividend yield  Target companies that can increase their dividends or have the potential for takeovers, special dividends and stock buybacks  Flagship fund – used on a number of recommended lists across the street  4-Star Morningstar rating as of May 31, 2010 RBC Canadian Dividend Fund

15. - 15 - Client’s Name RBC Canadian Equity Income Fund  Performance track record since inception in 2006 speaks to diligent management and stock selection  Source of regular monthly cash flow, in a relatively tax efficient form (dividends, return of capital)  Target yield range is 1.25 – 2.5 times that of the S&P/TSX Capped Composite Index  Low MER of 2.04% versus the category median of 2.29% (Morningstar: Canadian Income Trust Equity)  5-Star Morningstar rating as of May 31, 2010

16. - 16 - Client’s Name Please consult your advisor and read the prospectus before investing. There may be commissions, trailing commissions, management fees, and expenses associated with mutual fund investments. Mutual funds are not guaranteed, their values change frequently, and past performance may not be repeated. The indicated rates of return are the historical annual compounded total returns for the periods ended May 31, 2010 including changes in unit value and reinvestment of all distributions and do not take into account sales, redemption, distribution or optional charges or income taxes payable by any unitholder that would have reduced returns. RBC Funds and PH&N Funds are offered by RBC Asset Management Inc. and Phillips, Hager & North Investment Management Ltd., respectively, and distributed through authorized dealers. This presentation is not intended to provide individual investment, legal, accounting, tax, financial, or other advice and is provided as a general source of information only. Specific investment strategies should be considered relative to each investor’s objectives and risk tolerance. The information contained herein is provided by RBC Asset Management Inc. (RBC AM) and is believed to be up-to-date, accurate, and reliable. Due to the possibility of human or mechanical error, RBC AM is not responsible for any errors or omissions. Information obtained from third parties is believed to be reliable but neither RBC AM, its affiliates, nor any other person assumes responsibility for any errors or omissions or for any loss or damage suffered. Opinions and estimates constitute our judgement as of April 14, 2010, and are subject to change without notice. Graphs and charts are used for illustrative purposes only and do not predict future values or performance. This presentation may contain forward-looking statements, which are not guarantees of future performance. Forward-looking statements, which use predictive words like “may,” “could,” “should,” “would,” “suspect,” “outlook,” “believe,” “plan,” “anticipate,” “estimate,” “expect,” “intend,” “forecast,” “objective,” and similar expressions, involve inherent risks and uncertainties and it is possible that actual results, actions, or events could differ materially from those expressed or implied in the forward-looking statements. All opinions in forward-looking statements are subject to change without notice and are provided in good faith but without legal responsibility. RBC Global Asset Management (RBC GAM) comprises RBC Asset Management Inc. (RBC AM), Phillips, Hager & North Investment Management Ltd. (PH&N) and RBC Global Asset Management (U.S.) Inc. ® Registered trademark of Royal Bank of Canada. RBC Global Asset Management is a trademark of Royal Bank of Canada. Used under license. © RBC Asset Management Inc. 2010. Disclosure